Confusion In Raley's Labor Talks

Labor negotiators from Raley’s and its employees’ union met in San Francisco Thursday at the request of a federal mediator.
It appears the two sides have had a major misunderstanding over the company’s latest proposal.

Before the meeting in San Francisco, the United Food and
Commercial Worker's Union filed a charge of unfair labor
practices against the company with the National Labor Relations
Board. After the paperwork was filed, local unions rallied at
the federal courthouse in Sacramento in solidarity.

UFCW8 President Jacques Loveall says Raley's needs to include
healthcare and pensions in its proposal. "I think we're
within striking distance on the economics. The union health
and welfare plan and the retiree health and welfare are just
absolutely central to getting an agreement done. It's an affront we
simply cannot tolerate."

But John Segale with Raley's says the company has not proposed a
new health and pension plan because it has no interest in changing
the old one. "So, it doesn't deal with health and
welfare. It will remain as is under this contract. Our hope
is members would have a chance to review it and vote on it and we
could get this issue resolved right away."

A federal mediator requested the two sides meet this
week.

If no agreement is reached before Saturday night at midnight,
Raley's says it will eliminate higher Sunday and holiday pay and
freeze all other wages for two years. The company says the
cost savings will make it competitive with other chains.

Raley's says thirty percent of its stores lost money last year.
The union has demanded to see the company's books.

UPDATE:10:00A.M. 11/02/12 Both sides have agreed to a
media blackout regarding ongoing talks. More meetings are
scheduled for Friday morning.